Launching a new food or beverage product is complicated, costly, and fraught with seen and unforeseen challenges.
And it’s not just about getting the product right, the market is increasingly competitive with myriad new launches across all sectors every week.
“Cutting through is harder than ever,” says Gareth Turner, director of FMCG marketing firm, Big Black Door.
Challenging times for food and beverage
The food and beverage industry really is up against it when it comes to innovating and developing new products.
Climate change is spiking commodity prices, geopolitical unrest is pushing energy costs up, Trump’s tariffs are causing trading chaos, and regulatory changes including EUDR and CSDDD are leading to reformulation and supply-chain switches.
Added to that, competition in the field is vast meaning securing and keeping shelf space in shops and supermarkets, is difficult.
“There’s simply too much noise, especially in crowded categories like snacks, drinks and plant-based,” says Turner.
All this makes new product development a huge financial risk for manufacturers, so getting it right and avoiding mistakes is essential.
Biggest F&B NPD mistakes brands make:
1. Innovating for innovation’s sake
One of the most surprising mistakes food and beverage brands make is creating products that aren’t needed.
“Designing a new product is a balancing act between creativity and commerciality,” says Turner. “Teams often get excited about trends or novel formats, but unless the product solves a real consumer problem or adds something meaningful to the category, it won’t cut through with consumers or your retail partners.”
2. Not working as a team
Getting all relevant departments to work effectively and efficiently together is one of the most common sticking points in new product development.
“Getting R&D, supply chain, marketing and finance to row in the same direction can be a slog, especially in larger businesses,” says Turner.
3. Not getting the product right
Designing a new product is a balancing act between creativity and commerciality.
“One of the most common mistakes is designing for the boardroom, not the retailer, shopper or consumer,” says Turner. “Brands overcomplicate the proposition, use language consumers don’t understand, or push claims that sound good internally but don’t resonate on-shelf.”
Another big mistake is not thinking enough about customer need. Great products fit easily into people’s lives – for example, a snack food item will be easy to carry and eat on the go.
Brands also occasionally make the mistake of creating a complex product that simply confuses consumers.
“If you need to educate too much, it’s probably not ready,” says Turner. “I learnt this the hard way when Arla launched the Lurpak Cook’s Range. I still believe it was an incredible product, but it needed too much education at shelf – asking shoppers to break their habitual purchases of oil. We spent millions on that launch, but the product came off shelves soon after launch."
But there are brands getting it right.
Finnish brand, Lonkero’s Finnish Long Drink has successfully launched an entirely new drink to the alcoholic beverage sector. The lightly sparkling, grapefruit flavoured drink is original and has been making waves at trade shows across Europe.
Meanwhile non-alcoholic brand beverage brand, Lucky Saint, stands out for redefining what innovation means.
“It’s not just about flavour or format, they’ve created an aspirational brand around a category that was previously an afterthought. To make it feel desirable and aspirational. That’s another level of innovation,” says Turner.
4. Not investing in a product’s success
Building brand and product reputation takes investment, consistency and time. Many brands underestimate how long and how much money it takes to seed and scale new products. It’s not just about the launch, it’s about staying power.
“I see a lot of brands celebrating securing a listing, but that’s when the hard work starts,” says Turner. “You need a strong launch, but you also need to keep the momentum to ensure that the brand is secure in its place in the first quarter.”
Getting it right
“Be obsessed with the details because nobody else is going to do that for you” – that’s Gareth Turner’s top tip for getting a new product launch right.
These details include:
- Developing a strong understanding of consumer needs
- Knowing where a new product would fit into consumer lives
- Understanding what consumers are expecting from a particular type of product
- In-depth, translatable knowledge of the value a new product would add to a retailer - why should they stock it and what it sets it apart from other products in the space?
- Being patient. Success often come from persistence, experience and resilience
